Journal & Ledger for Petty Cash Book

Q.

When a petty cash book is kept there will be.

Q.

What is the journal entry for petty cash?

Q.

Is carpet a fixed asset?

Q.

The Chief Cashier advances a sum of money to the Petty Cashier to enable him to meet petty expenses for a fixed period. Which of the following is correct?

1. Credit cash account

2. Either A or B

3. None of the above

4. Debit cash account

Q.

Which account is credited to record the issue of petty cash fund ?

1. Cash account

2. Bank account

3. Petty cash account

4. None

Q. The closing balance of petty cash book is considered as a/an .

1. asset
2. liability
3. income
4. expense

Q.

Is the balance of petty cash book an asset or income?

Q.

David wants to replenish the Rs150 petty cash fund. He has receipts for the following total payments: supplies, Rs36; and postage (Office Expense), Rs27. A cash count shows Rs87 in the petty cash box. What is the correct journal entry to record the transaction?

1. Debit Cash Rs63 and credit Miscellaneous Expense Rs63

2. Debit Miscellaneous Expense Rs63 and credit PettyCash Rs63

3. Debit Office Expense Rs27, debit Supplies Rs36 and credit Petty Cash Rs63

4. None of these

Q.

Which of the following journal entries records petty cash expenses?

1. Credit petty cash, debit cash

2. Debit petty cash, credit expense accounts

3. Credit petty cash, debit expense accounts

4. None

Q.

How do you fix errors of omission?

Q.

When replenishing the petty cash fund, which of the following are true:

1. Cash is debited

2. Petty cash is debited

3. Petty cash is credited

4. Expenses from petty cash vouchers are debited

Q.

From the following particulars what shall be balance c/d of the Petty Cash Book under Imprest System:
Petty cash balance Rs 2000
May 2 Cheque received for Rs. 7000.
May 3 Postage paid Rs. 50.
May 6 Paid taxi hire of travelling salesman Rs. 100.
May 19 Stationary purchased Rs. 120.
May 31 Settled the balance due to Smith Rs.8000 by cheque.

1. Rs 2000

2. Rs 730

3. Rs 1730

4. Rs 8730

Q.

The company replenished the petty cash fund via a cheque of Rs 730. In the journal entry, which account is credited?

1. Cash account

2. Petty cash account

3. Bank account

4. None

Q.

What is a single entry and incomplete record?

Q.

Which account is debited to record the issue of petty cash fund ?

1. Cash account

2. Petty cash account

3. Bank account

4. None

Q.

Claire wants to establish a Rs250 petty cash fund for her business. She requested a cheque for Rs250. What is the correct journal entry to record the transaction?

1. Debit Petty Cash Rs250 and credit Cash Rs250

2. Debit Petty Cash Rs250 and credit Bank Rs250

3. Debit Cash Rs250 and credit Petty Cash Rs250

4. Debit Petty Cash Rs250 and credit Miscellaneous Expense Rs250

Q.

Michelle wants to replenish the Rs300 petty cash fund. She has receipts for the following total payments: postage (Office Expense), Rs40; supplies, Rs25; and repairs, Rs45. A cash count shows Rs175 in the petty cash box.What is the correct journal entry to record the transaction?

1. Debit Repair Expense Rs45, debit Supplies Rs25, debit Office Expense Rs40 and credit Cash Rs110

2. Debit Repair Expense Rs45, debit Supplies Rs25, debit Office Expense Rs40 and credit Petty Cash Rs110

3. Debit Repair Expense Rs45, debit Supplies Rs25, debit Office Expense Rs40 and debit Cash Short and OverRs15, and credit Cash Rs125

4. Debit Repair Expense Rs45, debit Supplies Rs25, debit Office Expense Rs40 and credit Cash Rs110, credit CashShort and Over Rs15

Q.

When should the petty cash fund be reimbursed?

Q.

Timothy wants to replenish the Rs300 petty cash fund. He has receipts for the following total payments:postage (Office Expense), Rs35; supplies, Rs25; and repairs, Rs95. A cash count shows Rs140 in the petty cash box.What is the correct journal entry to record the transaction?

1. Debit Repair Expense Rs95, debit Office Expense Rs35, debit Supplies Rs25 and credit Cash Rs155

2. Debit Repair Expense Rs95, debit Office Expense Rs35, debit Supplies Rs25 and credit Petty Cash Rs155

3. Debit Repair Expense Rs95, debit Office Expense Rs35, debit Supplies Rs25, and credit cash Rs140, credit Cash Short and Over Rs15

4. Debit Repair Expense Rs95, debit Office Expense Rs35, debit Supplies Rs25, debit Cash Short and Over Rs5, and credit cash Rs160

Q.

When cash is given to petty cashier, which of the following is correct?

1. Cash Account debit

2. Petty Cash Account debit

3. Petty cash account credit

4. None of these

Q. Answer in one sentence only :

Write the meaning of journal proper.

Q. Petty cash fund is supposed to be replenished at ________________.

1. Every day
2. Every half year
3. Every Year
4. At the end of every accounting period

Q.

A waiters salary consists of his salary and tips. During one month his tips were 4upon 3 of his salary. What fraction of his income came from tip?